Program Overview

Department of Industrial Engineering & Operations Research, IIT Bombay

About the Department

The Department of Industrial Engineering & Operations Research at IIT Bombay is a leading institution for education and research in the field of industrial engineering and operations research.

Academics

The department offers a range of academic programs, including:

• Ph.D.
• M.Sc.
• M.Sc-Ph.D.
• M.Tech
• B.Tech
• B.Tech Minor
• IDDDP
• CEP

Courses

The department offers a variety of courses, including:

• IEOR Courses
• Time Table

Admissions

The department admits students to its various programs through a competitive admission process. The admission criteria for each program are as follows:

• Ph.D.
• M.Sc.
• M.Tech.
• B.Tech.
• FAQ - Admissions

Research

The department is actively involved in research in various areas, including:

• Research Topics
• Publications
• Student Projects
• Computing
• FedEx ALFA
• TCAAI

Opportunities

The department provides various opportunities for its students and faculty, including:

• Faculty Positions
• Corporate Visitors
• Placements

News

The department publishes news and announcements about its activities and achievements, including:

• Past News
• Past Announcements
• Departmental convocation

IE3xx: Risk & Uncertainty

Course Description

Decision theory provides a rational framework for choosing between alternative courses of action when the consequences resulting from this choice are imperfectly known. This course introduces the idea of decision making in business settings (industrial and service systems) and other settings when the outcomes of these actions are known as well as unknown.

Course Contents

The course covers the following topics:

• Decision making under certainty
• Decision making under uncertainty including decision trees, min-max criteria
• Expected utility
• Risk and risk aversion
• Subjective Probability
• Group decision like AHP, ANP etc and social choice

References

The course references the following texts:

• Simon French, Decision Theory: An Introduction to Mathematics of Rationality, John Wiley & Sons, 1988.
• Howard Raiffa, Decision Analysis: Introductory Lectures on Choices under Uncertainty, Addison Wesley, 1970.
• Itzhak Gilboa, Making Better Decisions: Decision Theory in Practice, Wiley-Blackwell, 2011.
• D. V. Lindley, Making Decisions, John Wiley & Sons, 1985.
• Martin Peterson, An Introduction to Decision Theory, Cambridge University Press, 2017.
• Michael D Resnik, Choices: An Introduction to Decision Theory, University of Minnesota Press, 2000.
• Peter C Fishburn, Foundations of Expected Utility Theory, Springer, 1982.